Examining learning strategies, creativity, and innovation at SMEs using fuzzy set qualitative comparative analysis and PLS path modeling

Abstract

Some degree of ambiguity and inconsistency in organizational learning capability and its outcomes still exists, especially among small and medium-sized enterprises (SMEs). This study argues that exploitative learning strategy, explorative learning strategy, improvisational creativity, and compositional creativity are several antecedents (causal conditions) of innovation as an outcome (solution) within SMEs. This study analyzes data from a survey of 206 top managers of SMEs using PLS-structural equation modelling (PLS-SEM) and fuzzy set Qualitative Comparative Analysis (fsQCA) to demonstrate innovation and its dependence on combinations of complex antecedent conditions and various alternative paths. Though the results of the PLS-SEM analysis support the hypothetical paths except explorative learning and compositional creativity; the fsQCA findings indicate conditional support for the proposed antecedents and outcomes except explorative learning and exploitative learning. Furthermore, the complex solutions of the fsQCA analysis indicate that five combinations sufficiently explain innovation.